During the 1940s and 1950s each of the participants in the process which had shaped lCFC and Finance Corporation for Industry (FCl), notably the Bank of England, the clearing banks, and the Treasury, ...
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During the 1940s and 1950s each of the participants in the process which had shaped lCFC and Finance Corporation for Industry (FCl), notably the Bank of England, the clearing banks, and the Treasury, sought to a greater or lesser degree to ensure that the Corporation behaved according to their particular plan. lCFC in turn was to respond in a variety of ways which, after a period of considerable struggle, were eventually to ensure the Corporation's autonomy and subsequent growth. It had been argued that ICFC's provision of funds should be complementary to services provided by the banks. The former would provide long-term ‘lock-up’ capital for buildings, plant, and machinery, for example, while the banks could continue to finance trade credit, stock, work in progress, and so on. Increased turnover, it was argued, would boost overdraft requirements to the benefit of bankers.Less

Establishing Independence

Richard Coopey

Published in print: 1995-06-15

During the 1940s and 1950s each of the participants in the process which had shaped lCFC and Finance Corporation for Industry (FCl), notably the Bank of England, the clearing banks, and the Treasury, sought to a greater or lesser degree to ensure that the Corporation behaved according to their particular plan. lCFC in turn was to respond in a variety of ways which, after a period of considerable struggle, were eventually to ensure the Corporation's autonomy and subsequent growth. It had been argued that ICFC's provision of funds should be complementary to services provided by the banks. The former would provide long-term ‘lock-up’ capital for buildings, plant, and machinery, for example, while the banks could continue to finance trade credit, stock, work in progress, and so on. Increased turnover, it was argued, would boost overdraft requirements to the benefit of bankers.